IJIRST International Journal for Innovative Research in Science & Technology| Volume 2 | Issue 10 | March 2016 ISSN

(online): 2349-6010

A Study on Impact of Digital Marketing in

Customer Purchase Decision in Trichy
Mrs. K.R. Mahalaxmi P. Ranjith
Faculty Member P.G Student
Department of Management Studies Department of Management Studies
Anna University (BIT Campus), Tiruchirappalli, Tamil Nadu, Anna University (BIT Campus), Tiruchirappalli, Tamil Nadu,
India India

Abstract

The aim of the study is to examine the implication of digital marketing in consumer purchase decision and to find out that the
consumers are aware of digital marketing and the digital channels influence in their purchase decision. The study is carried out
through survey from50 respondents. The results of the survey are analyzed using chi square test. The findings revealed that
customers are aware of digital marketing and they prefer to by electronic and shopping goods through digital channels in their
purchase behaviour. The study is performed in a particular geographical area and this may be considered as a limitation to judge
the purchase decisions of all customers of various regions. As the world moving towards digital era, the digital channels plays
vital role in increase of sales of any firms products. So the present study made an attempt to reveal the impact of digital
marketing on customer purchase decision.
Keywords: Customer Purchase Behavior, Digital Channels, Digital Marketing
________________________________________________________________________________________________________

I. INTRODUCTION

American Marketing Association defined marketing is the motion, set of association and processes for create, communicate,
deliver and exchange aid that have value for customers, clients, allies, and society at large. Throughout the history, it has always
been important to market the product to its audience and its the best way to get the brand name out and make sales. Though
promotion can be made through many ways, but its necessary to satisfy the objectives of the organization by minimize the
expenses. Digital marketing is the way to satisfy.
Chaffey (2012) The application of the internet and related digital technologies in combination with conventional
communication to accomplish marketing objectives
Digital marketing is the use of the channels in order to reach the desired target market via some of the following channels
social media, websites, multimedia advertising, online search engine advertisement, E-marketing, interactive marketing (polls,
game adds, mobile marketing)
Digital marketing has been considered a new form of marketing and provided new opportunities for companies to do businesses.
Marketing activities conducted via digital channels enable advertisers to directly communicate with potential customers in a rapid
velocity and regardless the geographical location. Digital marketing has been recently referred as one of the best means to cut through
the mess and interact directly with the consumer. Hence, with the trend toward direct, onetoone marketing, additional attention is
being paid to the use of the digital channels as a means of effectively advertising to consumers. While considering digital channels, the
recent development is mobile marketing. Indian mobile market is one of the fastest growing markets due to the increase in the number
of middle-income consumers, and is forecasted to attain millions of users in the upcoming decade. Thus, research on digital channel
advertising would impact greatly on the way business is done. The development and widespread use of internet technologies have
transformed the way society communicates both in their daily and professional life. One of the for the most part important indicator of
this transformation is emergence of new communication tools. New communication tools emerging with the development of
technologies are called digital marketing. When we talk about digital channels, what comes to intellect are Facebook, Twitter,
Instagram and similar social networks that are used online and virtual platforms like web sites, micro blogs and search engines. With
the advent of new communication to customers with digital channels, already available communication tools are now fetching to be
called as traditional communication tools. Traditional communication tools are printed (journals, newspapers etc.), visual (television,
cinema etc.) and audio (radio) communication tools.

II. LITERATURE REVIEW

Thirty papers considered for literature review to gain knowledge about digital marketing, from that 10 papers eliminated from
consideration due to insufficient information for the concern study.Elisabeta loanals et al., (2014) studied the impact of social media on
consumer behviour with116 respondents through structured questionnaire. His findings revealed that social media has impacton
behaviour changes of consumers. Antoine camarre et al.,(2012) discussed in his rticle about the future direction of mobile marketing in
various areas.(Roger strom et al.,) discussed that mobile marketing can increase value for consumers and also

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 A Study on Impact of Digital Marketing in Customer Purchase Decision in Trichy
(IJIRST/ Volume 2 / Issue 10 / 063)

retailers.Basheer et al.,(2010)examined the impact of SMS advertisingon consumer attitude and purchase intentions.His findings
revealed that there exist a positive relationship between perceived usefulness of advertisement and purchase intention.Sadia Afzal et al.,
(2015) discussed in his paper the impact of online and conventional advertisement on consumer buying behaviour of branded garments
results revealed that quality, design, content of advertisement, loyalty of consumer towards brand and previous buying experience of
consumer are significant factors which influence consumer buying behviour.Joseph omotoya et al.,(2009) studied swithching cost and
its relationship with customer retention, loyalty and satisfication and foud that swiching cost has significant effect on customer
retention.Fusun CIZMECI et al., (2015) investigated the impact of digital marketing tools on brand awareness gneration among housing
companies.Under this study theoritical framework was drawn for usage of trends in digital marketing.
Based on the review made its apparent that there is a chane in trend of the shoppin behaviour of the consumers because of the
emergence of digital marketing . hence the study focus towards measuring the awarness level of consumers about digital
marketing and the impat of the dgital channels on their purchase decision. The study also made an attempt to examine the
preference of digital channels by the consumers based on product types.

Objectives of The Study

To study the awareness of digital marketing in Trichy consumers. To
analyze the influence of digital marketing in purchase decision.
To know about the kind of products bought by utilizing digital channels. To
analyze the impact of digital marketing in purchase decision.

Scope of The Study

The suggestion from the study is based on the responses given by the consumers in a specific area. This study will be helpful in
getting an insight into the impact of digital marketing in customer buying decision.

III. RESEARCH METHODOLOGY

Research Design
The study carried out with both primary and secondary data. The primary data was collected through structured questionnaire
from samples of 50 respondents from the specified area. The samples have been considered by using non-probability technique
(convenient sampling method) was validated and took it for further analysis. secondary data is also being collected from articles,
journals etc.
The tool used to analyze the data is chi-square test

Research Model

Fig. 2: Research model

The research design clearly examines the impact of digital marketing in the customer buying decision. The study mainly focused
to examine the intension of the customers to make utilize of the digital marketing channels in their buying decision and also to
analyses that what kind of products that they should buy make use of digital marketing more preferably.

Area of the Study

For this study the respondents are randomly selected in the Trichy city.

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 A Study on Impact of Digital Marketing in Customer Purchase Decision in Trichy
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Research Approach
For this study, survey method is used for collecting data, respondents are requested to fill the questionnaire by self after
explaining the various aspects mentioned in it. It contained both open and closed ended questions in a structured format.

Sampling Technique and Sample Size

The sample size of 50 was taken for the purpose of conducting pilot study to find the respondent makes use of digital channel to
buy products

Data Usage
For analysis and interpretation, the data collected through questionnaire are only taken into the consideration and it is analyzed
by using chi-square test

Research Instrument
Data was collected through structured questionnaire by using non comparative scaling technique likert scaling is used in the
questionnaire. It has been classified into two parts explain the awareness of digital marketing and it influences over the customer
buying decision the impact of digital marketing can be studied through analyzing the collected data. Secondary data were
collected Journal, Case Studies, web sites, E-book, etc.

IV. ANALYSIS AND INTERPRETATION

S.No Question Options 1 Res 2 Res 3 Res 4 Res 5 Res 6Res 7Res 8 Res 9Res 10Res 11Res 12Res 13Res 14Res 15Res 16Res 17Res 18Res 19Res 20Res 21Res total percentag
22Res 23Res 24Res 25 e
20 or below 0
21-25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 14 0.56 56
Age 26-30 1 1 0.04 4
31-35 1 2 3 3 0.12 12
1 36and above 1 2 3 4 5 6 6 0.24 24
Gender male 1 2 3 4 5 6 7 8 9 10 11 12 13 13 0.52 52
2 female 1 2 3 4 5 6 7 8 9 10 11 11 0.44 44
Graduation 1 1 0.04 4
Educational Post-graduation 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 15 0.6 60
qualification phd 1 2 3 4 5 6 7 7 0.28 28
3 Others 1 1 0.04 4
Business people 1 2 3 3 0.12 12
Occcupation Proffessionals 1 2 3 4 5 6 7 8 9 9 0.36 36
Students 1 2 3 4 5 5 0.2 20
4 Others 1 2 3 4 5 6 7 7 0.28 28
<10,000 1 2 3 4 5 6 7 8 9 9 0.36 36
Monthly income 10,000-20,000 1 2 3 4 5 5 0.2 20
20,000-30,000 1 1 0.04 4
5 >30000 1 2 3 4 5 6 7 8 9 9 0.36 36
Whichof the
following
digital channel do
you
6aware of? Social media 1 2 3 4 5 6 7 8 9 10 10 0.4 40
websites/blogs 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 19 0.76 76
multimedia 1 2 3 4 5 6 6 0.24 24
advertising
E-mail 1 2 3 4 5 5 0.2 20
others 1 2 3 4 5 5 0.2 20
From whichof the
digital
channels,you
bought
7products? Social media 1 2 3 3 0.12 12
websites/blogs 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 18 0.72 72
multimedia 1 1 0.04 4
advertising
E-mail 1 2 2 0.08 8
others 1 2 3 4 4 0.16 16
which digital
channel
influences you
more to
8buy? Social media 1 2 2 0.08 8
websites/blogs 1 2 3 4 5 6 7 8 9 10 11 12 13 13 14 15 0.6 60
multimedia 1 2 3 3 0.12 12
advertising
E-mail 1 2 2 0.08 8
others 1 2 3 4 4 0.16 16
What kind of
products
would you prefer to buy
9uing digital Convenience goods 1 2 3 4 5 5 0.2 20
channels?
Shopping goods 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 18 0.72 72
Speciality goods 1 2 3 3 0.12 12
Unsought goods 0 0 0
Does digital
chnnels
change your
opinion
towards the
buying
10decisions? strongly agree 1 2 3 4 5 6 7 8 9 10 10 0.4 40
Agree 1 2 3 4 5 6 7 7 0.28 28
No opinion 1 2 3 3 0.12 12
Disagree 1 2 2 0.08 8
Strongly disagree 1 2 2 0.08 8
Are you satisfied
with
the product
bought
11using digital channels? strongly agree 1 2 3 4 4 0.16 16
Agree 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 16 0.64 64
No opinion 1 2 3 4 4 0.16 16
Disagree 0 0 0
Strongly disagree 0 0 0
How often you
buy
products using
digital
12channels? Frequently 1 2 3 4 5 6 7 7 0.28 28
Sometimes 1 2 3 4 5 6 7 8 9 10 11 11 0.44 44
 Rarely 1 2 3 4 4 0.16 16
Never 1 2 2 0.08 8
Mention the
products
would you like to
buy
13using digital
channels?

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 A Study on Impact of Digital Marketing in Customer Purchase Decision in Trichy
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Chi-Square Test
Hypothesis 1 H0 Educational qualification is not associated with the awareness about digital marketing

Chi-square analysis
observed Exp chi-sq
1 0.2222 2.7222
0 0.4 0.4000
0 0.13333 0.1333
0 0.13333 0.1333
0 0.11111 0.1111
5 5.77778 0.1047
12 10.4 0.2462
3 3.46667 0.0628
3 3.46667 0.0628
3 2.88889 0.0043
3 3.33333 0.0333
5 6 0.1667
3 2 0.5000
2 2 0.0000
2 1.66667 0.0667
1 0.66667 0.1667
1 1.2 0.0333
0 0.4 0.4000
1 0.4 0.9000
0 0.33333 0.3333
Total 6.5808
d.f- 12
Hypothesis 2 Ho Monthly income is not associated with the kind of products prefer to buy through digital channels
c Sh Sp Total
1 4 5 0 9
2 1 3 2 6
3 0 1 0 1
4 1 7 1 9
Total 6 16 3 25

observed Exp chi-sq

4 2.16 1.5674
5 5.76 0.1003
0 1.08 1.0800
1 1.44 0.1344

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 A Study on Impact of Digital Marketing in Customer Purchase Decision in Trichy
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3 3.84 0.1838
2 0.72 2.2756
0 0.24 0.2400
1 0.64 0.2025
0 0.12 0.1200
1 2.16 0.6230
7 5.76 0.2669
1 1.08 0.0059
Total 6.7998
D.F- 6
Hypothesis 3 H0 Digital channels is not associated with the change of opinion towards the Consumer buying decision
1 2 3 4 5 Total
SM 1 1 0 0 0 2
WB 8 5 1 2 1 17
MA 0 1 0 0 1 2
E 2 0 1 0 0 3
O 1 1 1 1 0 4
Total 12 8 3 3 2 28

observed Ex Chi-sq
p
1 0.857 0.0238
1
1 0.571 0.3214
4
0 0.214 0.2143
3
0 0.214 0.2143
3
0 0.142 0.1429
9
8 7.285 0.0700
7
5 4.857 0.0042
1
1 1.821 0.3704
4
2 1.821 0.0175
4
1 1.214 0.0378
3
0 0.857 0.8571
1
1 0.571 0.3214
4
0 0.214 0.2143
3
0 0.214 0.2143
3
1 0.142 5.1429
9
2 1.285 0.3968
7
0 0.857 0.8571
1
1 0.321 1.4325
4
0 0.321 0.3214
4
0 0.214 0.2143
3
1 1.714 0.2976
3
1 1.142 0.0179
9

1 0.428 0.7619
6
1 0.428 0.7619
6

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 A Study on Impact of Digital Marketing in Customer Purchase Decision in Trichy
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0 0.2857 0.2857
Total 13.5139
D.F- 16
Hypothesis 4 H0 customer satisfaction is not associated with product buy through digital Channels
1 2 3 4 Total
SM 1 3 0 0 4
WB 2 13 2 0 17
MA 0 1 0 0 1
E 1 0 1 1 3
O 1 0 3 0 4
Total 5 17 6 1 29

observed Exp Chi-sq

1 0.6897 0.1397
3 2.3448 0.1831
0 0.8276 0.8276
0 0.1379 0.1379
2 2.9310 0.2957
13 9.9655 0.9240
2 3.5172 0.6545
0 0.5862 0.5862
0 0.1724 0.1724
1 0.5862 0.2921
0 0.2069 0.2069
0 0.0345 0.0345
1 0.5172 0.4506
0 1.7586 1.7586
1 0.6207 0.2318
1 0.1034 7.7701
1 0.6897 0.1397
0 2.3448 2.3448
3 0.8276 5.7026
0 0.1379 0.1379
Total 22.9907
D.F-12

Findings From The Chi-Square Test

1) Hypothesis 1 Calculated value 6.5808, Table value 21.026
C.V <T.V, H0 is accepted
Educational qualification is not associated with awareness about digital channels
2) Hypothesis 2 Calculated value 6.7798, Table value 12.592
C.V < T.V, H0 is accepted
Monthly income is not associated with the kind of the product prefer to buy through digital channel by the consumers
3) Hypothesis 3Calculated value 13.5139, Table value 26.919
C.V <T.V, H0 is accepted
Influence of digital channels is not associated with their change of opinion in their buying
decision 4) Hypothesis 4 Calculated value 22.9907, Table value 16.2960
C.V > T.V H0 is rejected

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 A Study on Impact of Digital Marketing in Customer Purchase Decision in Trichy
(IJIRST/ Volume 2 / Issue 10 / 063)

Customer satisfaction is associated with the digital channels

Findings
This study reveals that people aware of digital channels in spite of their educational qualification and the customer prefer digital
channels to buy any sort of products. By analyzing the collected data from the respondent using Chi-square test it is found out
that no much role of monthly income of the people associate with the kind of products they wish to buy preferring digital
channel. The present study shows that the influence of the digital channels not supporting in change of opinion of customer
towards purchasing a product.

V. CONCLUSION AND RECOMMENDATION

The study is made in a particular geographical region the results of the study reveals that people aware of the digital channels In
spite of their educational qualification, customers use to prefer digital channels to buy any sought of products, no much role of
monthly income of people plays a role choosing a kind product buy through digital channels. Mostly people prefer shopping and
electronic goods to buy through digital channels and its came to known from the study that there is a rise in purchase of
convenience goods through digital channels among people. Effective reach of advertisements for convenience goods will
increase the sales of those goods through digital channels. The customers are satisfied with products they bought through the
digital channels this is considered as a positive sign for the growth digital channels in customer purchase decision. The present
study shows that the influence of the digital channels not supporting in change of opinion of customer towards purchasing a
product, but in near future the digital channels influence the customer purchase opinion as there is a consideration for digital
channels among customers are evident. As mentioned earlier this study made in particular region accurate results on the variables
could not be able to obtain. There exists a future scope to analyses the impact of digital channels on customer purchase decision
for a wider geographic area to obtain more accurate results.

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